Service Electric Cable TV (SECTV) of Hunterdon, Inc., a Pennsylvania
corporation, has applied to the Township of Harmony pursuant to the
provisions of the Cable Television Act, N.J.S.A. 48:5A-1 et seq. ("the
Act") for renewal of the Township's consent to operate a cable
television system in the Township of Harmony and to use the public
roads of the Township for its cable television system. A public hearing
concerning the franchise granted to the company was held on March
29, 2010 after proper public notice pursuant to the terms and conditions
of the Act, the hearing having been fully opened to the public, and
the Township having received at the hearing all comments regarding
the qualifications of the company to receive a franchise.

For the purpose of this chapter, the following terms, phrases,
words and their derivations shall have the meanings given herein.
When not inconsistent with the context, words used in the present
tense include the future, words in the plural include the singular,
and words in the singular include the plural.

Any communications service other than cable television reception
service delivered through the facilities of a CATV system and for
which charges in addition to or other than those made for cable television
reception service are made or proposed to be made.

Any person owning, controlling, operating or managing a cable
television system. The term "person," as used herein, shall be construed,
without limiting the generality thereof, to include specifically any
agency or instrumentality of this state or of any of its political
subdivisions; but this definition shall not include a telephone, telegraph
or electric utility company regulated by the Board in a case where
it merely leases or rents or otherwise provides to a CATV company
wires, conduits, cables or pole space used in the redistribution of
television signals to or toward subscribers or customers of such CATV
company.

Any facility within this state which is operated or intended
to be operated to perform the service of receiving and amplifying
the signals broadcast by one or more television stations and redistributing
such signals by wire, cable or other device or means for accomplishing
such redistribution to members of the public who subscribe to such
service or distributing through its facility any television signals,
whether broadcast or not, or any part of such facility. The term "facility,"
as used in this definition, includes all real property, antennas,
poles, wires, cables, conduits, amplifiers, instruments, appliances,
fixtures and other personal property used by a CATV company in providing
service to its subscribers and customers.

Those federal regulations relating to cable television service,
47 CFR 76.1 et seq., and, to the extent applicable, any other federal
rules and regulations relating to cable television, including but
not limited to those described in 47 CFR 76.3, or as such regulations
may be amended.

Those revenues derived from all recurring charges in the
nature of subscription fees paid by subscribers located within the
Township for cable television reception service for which no separate
or additional charge is made, i.e., basic cable service.

The Township hereby finds that the company possesses the necessary
legal, technical, character, financial and other qualifications and
that the company's operating and construction arrangements are
adequate and feasible. The Township therefore grants the company a
franchise, right and privilege to construct, erect, operate, modify
and maintain in, upon, along, across, above, over and under the highways,
streets, alleys, sidewalks, public ways and public places now laid
out or dedicated and all extensions thereof and additions thereto
such poles, wires, cables, underground conduits, manholes and other
television conductors and fixtures necessary for the maintenance and
operation in the Township of a cable television system and cable communications
system for the purpose of distributing television and radio signals
and other electronic impulses in order to furnish television and radio
programs and various communications and other electronic services
to the public. The right so granted includes the right to use and
occupy said highways, streets, alleys, public ways and public places
and all manner of easements for the purposes herein set forth as provided
by the Federal Act and State Act.

The nonexclusive franchise granted the company herein shall expire 15 years from the date of expiration of the previous certification of approval by the Board. The fifteen-year term shall be conditioned upon the company complying with a mutually negotiated agreement between the Township and the company for the expansion of the company's cable and internet service to the areas designated in § A190-8 of this chapter. The Township reserves the right at any time to enforce and/or terminate the franchise according to applicable laws, rules and regulations for the company's failure to perform any of its commitments and obligations as set forth in this chapter. Prior to enforcement or termination, the Township shall give the company 60 days' written notice to cure the noncompliance. In the event noncompliance continues, the Township shall file a petition with the Board of Public Utilities seeking such relief as is appropriate under the circumstance.

If the company seeks successive consent, it shall, prior to
the expiration of this consent, apply for municipal consent and certificate
of approval in accordance with the Cable Television Act, N.J.S.A.
48:5A-11 and 48:5A-16, and applicable state and federal rules and
regulations. The company shall also petition the Board for continued
operation during the period following expiration of the consent granted
herein and until such a time that a decision is made by the municipal
governing body relative to the renewal of said consent.

Pursuant to the terms and conditions of the Act, the company shall,
during each year of operation under the consent granted herein, pay
to the municipality 2% of the gross revenues from all recurring charges
in the nature of subscription fees paid by subscribers to its cable
television reception service in the municipality or any amount permitted
by the Cable Television Act or otherwise allowable by law. The fee
shall be paid on or before January 25 of each year and at the same
time the company shall file with the chief financial officer of the
municipality a statement showing the gross receipts upon which payment
is based.

In the event applicable law hereafter permits a larger franchise
fee to be collected, but does not fix the amount thereof, the Township
and the company shall negotiate in good faith with respect to the
amount. Additionally, in the event the relevant laws are amended in
the future to allow additional fees and/or charges (collectively "fees")
to be paid to the Township, the Township shall have the right to impose
such fees in accordance with the applicable law. In the event the
law does not state the amount the Township is allowed to impose, the
parties shall negotiate in good faith with respect to the amount of
the fee. In the event any of the fees provided for in this section
cannot be agreed to after negotiations, then the Township shall have
all rights available to it under law in order to establish the fee.

The Company shall be required to offer service to any residence located
in those areas of the franchise territory described herein, in accordance
with the proposal for the provision of services as described in the
application. Any additional extension of the system will be made in
accordance with the proposal in the application. The company shall
be further required to extend service to those township streets, along
public rights-of-way as indicated below:

Telephone services will be available to the entire Township by the
end of 2010. At that time, the entire Township will be able to receive
the Triple Play (cable, two-way high speed internet and telephone).

In the event that the company or its agents shall disturb any pavement,
street surfaces, sidewalks, driveways or other surfaces in the natural
topography, the company shall at its sole expense restore and replace
such places or things so disturbed in as good condition as existed
prior to the commencement of said work.

In the event that at any time during the term of this chapter the
Township shall lawfully elect to alter or change the grade of any
street, alley or other public way, the company, upon reasonable notice
by the Township, shall, at its expense, remove, relay and relocate
its poles, wires, cables, underground conduits, manholes and other
fixtures.

The company shall, on the request of any person holding a valid building
moving permit issued by the Township, temporarily raise or lower its
wires to permit the moving of buildings. The expense of such temporary
removal, raising or lowering of wires shall be paid by the person
requesting the same, and the company shall have the authority to require
such payment in advance. The company shall be given not less than
10 days' advance notice to arrange for temporary wire changes.

During the exercise of its rights and privileges under this franchise,
the company shall have the authority to trim trees upon and overhanging
streets, alleys, sidewalks and public places within the Township so
as to prevent the branches of such trees from coming into contact
with the wires and cables of the company. Such trimming shall be performed
only to the extent necessary to maintain proper clearance for the
company's wires and cables.

The company shall cause any and all construction plans relating to
work on any extension of the company plant or work which could have
a significant impact on public works within the Township to be filed
with the Township Engineer.

All facilities and equipment of the company shall be constructed
and maintained in accordance with the requirements and specifications
of the applicable ordinances and regulations set forth by the Township
and/or any other local, state or federal agencies.

During the term of this franchise and any renewal term, the
company shall maintain a local business office or agent for the purpose
of receiving, investigating and resolving all complaints regarding
the quality of service, equipment malfunctions, and similar matters
in accordance with N.J.A.C. 14:18-5.1. All complaints shall be received
and processed by the company pursuant to N.J.A.C. 14:17-6.5. The local
office shall be open to receive inquiries and complaints and to receive
payment of bills from subscribers during normal business hours, and
in no event less than 9:00 a.m. to 5:00 p.m., Monday through Friday.
Any complaints from subscribers shall be investigated as soon as practicable,
but at least within two business days of their receipt. The company
shall keep a maintenance service log in the manner required by the
regulations of the Office of Cable Television.

The New Jersey Office of Cable Television (OCTV) is hereby designated
as the complaint officer required by N.J.S.A. 48:5A-26 to receive
and act upon complaints by subscribers to cable television reception
service provided pursuant to this franchise.

Facilities and equipment. In transmitting its television signals
to subscribers in the Township, the company shall provide a quality
of signal that is at least as good as that customarily provided under
prevailing industry standards, and the company shall comply with any
requirements imposed by the Federal Regulations, any federal pronouncements
and, to the extent not preempted by federal law, any state pronouncements
relating to technical standards for the transmission of television
signals, transmission quality or facilities and equipment.

Emergency uses. The company is in compliance with the Federal Emergency
Alert System (EAS) and, as such, the company shall be required to
have the capability to override the audio portion of the system in
order to permit the broadcasting of emergency messages by the municipality
pursuant to state and federal requirements. The company shall in no
way be held liable for any injuries suffered by the municipality or
any other person, during an emergency, if for any reason the municipality
is unable to make full use of the cable television systems as contemplated
herein. The municipality shall utilize the state-approved procedures
for such emergency uses.

Customer service. At the request of the township, the company and
township's designee shall meet at least semiannually to review
all matters relating to cable television in the Township, with the
minutes of such meetings to be delivered to the company and to be
filed with the Township.

The Township acknowledges that, under the Federal Act, municipalities
do not have the authority to regulate the rates the company charges
subscribers for its services. Therefore, the Township will not regulate
the rates the company may charge subscribers for its service; provided,
however, that in the event the Federal Act and other applicable law
hereinafter is amended to permit the exercise of regulatory power
over rates by municipalities, the Township reserves the right to exercise
the maximum power permitted by law.

The Township is desirous of obtaining reduced rates for senior citizens,
disabled residents and other parties for whom reduced rates may currently
be available or may be available during the term of this chapter.
Therefore, if the company adopts reduced rates for senior citizens,
disabled persons or other parties in the future in accordance with
N.J.S.A. 48:5A-11.1 et seq. and the Federal Act or any other law or
regulation, these special rates shall be offered to qualified Harmony
residents.

Although nothing herein shall require the company to carry or
transmit any particular television stations or programming source,
the company shall provide the subscribers in the Township with at
least the same broad categories of programming, in approximately the
same quantity, as are now provided and which appear in the application.

The company shall provide free installation and basic cable service
through one service outlet to the following facilities: the municipal
building, Harmony Township School, each police, fire, first aid, emergency
management facility, Department of Public Works, and Township-operated
community center at no cost. This obligation shall apply to any new
facilities in the preceding categories constructed during the term
of municipal consent.

The company shall provide free installation of internet services
to the same facilities listed in Section A. This obligation shall
apply to any new facilities in the preceding categories constructed
during the term of municipal consent. The company is not required
to provide the monthly service fee free of charge.

The company shall pay, and by its acceptance of this franchise the
company expressly agrees that it will pay, all damages and penalties
which the Township may legally be required to pay as a result of the
company's negligence in the installation, operation, or maintenance
of the cable television system authorized herein. The Township shall
notify the company's general manager within 30 days after the
presentation of any claim or demand to the Township, either by suit
or otherwise, made against the Township on account of any negligence
or contract as aforesaid on the part of the company.

During the life of the franchise, the company shall give a bond
to the Township in accordance with N.J.S.A. 48:5A-28(d), which bond
shall be in the minimum amount of $25,000. Such bond shall be to insure
the faithful performance of all undertakings of the company as represented
in the application herein.

The company shall have the authority to promulgate such rules,
regulations, terms and conditions governing the conduct of its business
as shall be reasonably necessary to enable the company to exercise
its rights and perform its obligations under this franchise and to
assure uninterrupted service to each and all of its subscribers; provided,
however, that such rules, regulations, terms and conditions shall
not be in conflict with federal and/or state laws.

Any modification of existing and applicable FCC rules resulting
from amendment thereto by the FCC shall, to the extent applicable,
be considered as part of this franchise as of the effective date of
the amendment made by the FCC and shall be incorporated in this franchise
by specific amendments thereto by the lawful action of the Township
Council within one year from the effective date of the FCC's
amendment or at the time of renewal to this franchise, whichever occurs
first.

This chapter and franchise are subject to all provisions of
the State Act and Federal Act and to all lawful rules and regulations
of the OCTV adopted pursuant thereto. The company shall at all times
comply with the state regulations governing cable television operation,
the State Act, the Federal Act and any other. In the event of a conflict
between the State Act and state regulations and any FCC rules and
regulations, the FCC rules and regulations shall prevail.

The company shall not allow its cable or other operations to
interfere with the television reception of persons not served by the
company, nor shall the CATV system interfere with, obstruct or hinder
in any manner the operation of the various utilities serving the residents
of the Township.

In the event new cable services or products are made available
to subscribers in the Town of Phillipsburg, the same or similar service
or product shall be made available to all of Harmony Township within
one year after introduction.

Subject to the requirements of the Federal Act and approval
by the Board, the Township reserves the power to amend any portion
of this chapter after public hearing for the purpose of requiring
reasonable additions or greater standards of construction, operation,
maintenance or otherwise on the part of the company. Said amendments
shall be feasible and within the economic capabilities of the company.

Notwithstanding any specific mention of applicable federal or
state statutes or regulations above, the company shall comply with
all of the requirements of the Federal Act, the federal regulations,
the State Act and state regulations (to the extent not preempted)
and any other valid statute, regulation, rule or promulgation.

Should any of the federal or state statutes, regulations or pronouncements applicable to the regulation of cable television be modified in any way, such modifications, to the extent that they embody required terms and conditions and meaningfully can be incorporated into this chapter, shall be so incorporated, consistent with any applicable effective dates specified in such modification. To the extent that any such modification places limits on permissible terms and conditions and any provision of this chapter becomes invalid by virtue of such modification, § A190-27 shall apply.

The Township reserves the right to amend this chapter in the
event of any changes in state and/or federal law or regulations regarding
cable television in a manner consistent with the regulations of the
OCTV/BPU.

All of the statements and commitments contained in the application
and any amendment thereto, or otherwise submitted in writing to the
Township or its governing body, except as modified herein, are binding
upon the company as terms and conditions of this consent. The application
and any other relevant writings submitted by the company shall be
annexed hereto and made part hereof by reference to the extent that
they do not conflict with state or federal law.[1]